Country Analysis Note

The Kingdom of Bahrain is, along with Oman, one of only two countries bordering the Persian Gulf that is not a member of the Organization of the Petroleum Exporting Countries.

Bahrain produced 48,000 barrels per day (bbl/d) of crude oil and lease condensate in 2013, the least amount of any country in the Persian Gulf. Total petroleum production capacity at the Bahrain Field is expected to rise to 100,000 bbl/d by 2018

Saudi Arabia and Bahrain share production of the 300,000 bbl/d Abu Safah offshore field in Saudi Arabia, which is connected to Bahrain's Sitra refinery via pipeline. Bahrain intends to replace the aging pipeline system from Saudi Arabia with a new 71-mile pipeline by 2016. The planned pipeline will transport 350,000 bbl/d of crude oil from Saudi Arabia’s Abqaiq plant to Bahrain's Sitra refinery.

Refinery capacity far exceeds domestic crude oil production capacity. Bahrain has a 267,000 bbl/d-export refinery at Sitra. Plans are underway to expand the refinery's capacity to 360,000 bbl/d by 2017.

As with oil, the country is a small producer of natural gas. According to BP Statistical Review 2014, Bahrain produced 558 billion cubic feet (Bcf) of natural gas in 2013, up from about 480 Bcf in 2012. In order to meet growing natural gas needs, Bahrain plans to increase imports of natural gas. The government plans to complete construction of a 400-million cubic feet per day (MMcf/d) LNG import facility in the beginning of 2017. Potential pipeline projects from Iran and Qatar have been put on hold.

The Bahrain Petroleum Company (BAPCO) and Bahrain National Gas Company (BANAGAS) dominate Bahrain’s hydrocarbon industry.

Bahrain had about 4 gigawatts of electricity generating capacity in 2012, almost all of which was fossil fuel fired. A 5-megawatt solar project came online at the start of 2014 and a 25-megawatt waste to energy plant will come online by 2015. Bahrain is also taking part in the Gulf Cooperation Council's (GCC) plan to integrate the electric power grids of all GCC countries.